A STUDY ON IMPACT OF ONLINE ADVERTISING 1

Research Paper on

A STUDY ON IMPACT OF ONLINE ADVERTISING

By MADHAVI LODHI, 26-A

10th April 2023

INDIRA INSTITUTE OF MANAGEMENT, PUNE

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Abstract

In today’s era online advertising is the form of promotion of brands, products etc. by using the

internet and WWW [world wide web] to convey marketing message to attract, retain and

enhance the customers. Now in the markets, where it is very challenging to gain the customer

attention and classified the consumers attitude and intentions then move them to the next level of

buying process, online advertising find it even more challenging.

Advertisers find it more difficult to break through the clutter of competing advertisement.

This is a creative and attractive tool of promotion of the company and business.

The advertising industry has acquired the several changes over the few decades. In the

terms of technology advancement the changes has been good, Medium and more methods to

attract consumers and on Creativity. This study represents how

creativity impacted advertising, also understanding the value of creativity in advertising through

the review of various literatures. The importance of creativity factor in advertising has got wide

recognition by many researchers and practitioner, but there is a miss of true & systematic

research to define advertising creativity and how it relates to ad effectiveness. The review study

discusses some campaigns that have left their strong impression on consumers. A consumer can

have idea and information of even a small business enterprise with respect to large business

enterprises regarding products and services. Focus on different trends of online advertising also

has been done which results with the fact that online ads has become a challenge for the print ads

as various online applications, social site help to lead towards the data instantly than other

advertisement media existing. This is an attractive awareness creating tool of promotion of the

business. Online Advertising is a booming sector on which the research is going on.
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Keywords: advertisements , effectiveness , promotion , instantly, booming etc.

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Research Paper on

The internet has become an ongoing emerging source that tends to expand more and

more. The growth of this particular media attracts the attention of advertisers as a more

productive source to bring in consumers. Aclear advantage consumers have with online

advertisement is the control they have over the item, choosing whether to check

it out or not. Online advertisements may also offer various forms of animation. In its most

common use, the term "online advertising" comprises all sorts of banner, e-mail,

in-game, and keyword advertising, on platforms such as book, Twitter, or Myspace has received

increased relevance.

There are four distinct consumer groups with

different intentions and motivations:

 Exploration

 Entertainment.

 Shopping

 Information

Majority of young adult’s active information seekers. A high level of technological confidence

within this group tends to be an encouraging factor when it comes to product

information research online.

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OBJECTIVE OF THE STUDY

 To analyze consumers attitude towards internet advertising and its effect on their purchase

behavior pattern.

 To analyze consumer’s perception of online ads and the degree to which it contributes to

Internet advertising.

 To analyze consumer’s response to online advertisements& their perception of companies.

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INTERNET MARKETING

Marketing efforts are done solely over the Internet. This type of marketing uses various online

advertisements to drive traffic to an advertiser's website. Banner advertisements,

pay per click (PPC), and targeted email lists are often methods used in Internet marketing to

bring the most value to the advertiser. Internet marketing is a growing business because more

and more people use the internet every day. Popular search engines such as Google and Yahoo

have been able to capitalize on this new wave of

advertising.

TYPES OF INTERNET MARKETING

Internet marketing is broadly divided in to the following types:

DISPLAY ADVERTISING

Display advertising these of web banners or banner ads placed on a third-party website to drive

traffic to a company's own website and increase product awareness.

SEARCH ENGINE MARKETING (SEM)

Search Engine Marketing a form of marketing that seeks to promote websites by increasing their

visibility in search engine result pages (SERPs) through the use of either paid placement,

contextual advertising, and paid inclusion, or through the use of free search engine optimization

techniques..

SEARCH ENGINE OPTIMIZATION (SEO)

Search Engine Optimization the process of improving the visibility of a website or a web page in

search engines via the "natural" or un-paid ("organic “or "algorithmic") search results.
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SOCIAL MEDIA MARKETING

Social Media Marketing the process of gaining traffic or attention through social media sites.

EMAIL MARKETING

Email Marketing involves directly marketing a commercial message to a group of people using

electronic mail.

REFERRAL MARKETING

A Marketing a method of promoting products or services to new customers through Referrals,

usually word of mouth.

AFFILIATE MARKETING

A marketing practice in which a business rewards one or more affiliates for each Visitor or

customer brought about by the affiliate’ sowed marketing efforts.

CONTENT MARKETING

Involves creating and freely sharing informative content as a means of converting prospects into

customers and customers into repeat buyers.

E-MAIL MARKETING

Email marketing is a type of direct digital marketing that uses electronic mail (also called email

or e- mail) as the marketing communication delivery method. Email marketing is used in a

number of ways by organizations and marketers for brand and customer

loyalty building, acquiring or converting customers, company advertisements, or for

communicating promotional offers and more.

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EMAIL NEWSLETTERS

Email Newsletters are direct emails sent out on a regular basis to a list of subscribers, customers.

The primary purpose of an email newsletter is to build upon the relationship of the company with

their customers/subscribers. Transactional Emails Transactional

emails are usually triggered based on customer’s action with a company. Triggered transactional

messages include dropped basket messages, purchase or order confirmation emails and email

receipts. The primary purpose of a transactional email is to convey information regarding the

action that triggered it. But, due to its high open

rates(51.3% compared to 36.6%for email newsletters), transactional emails are a golden

opportunity to engage customers; to introduce or extend the email relationship

with customers or subscribers, to anticipate and answer questions or to cross-sell or up-sell

products or services.

LITERATURE REVIEW

An estimated figure is around Rs. 100 core worth of ads on the net. Ads on the net are still not

paid to the extent of60-70% . Even billed ads are at discounted rates. The real ad businesses the

net is still Rs. 25-30 core. A lot of agencies are coming or ward to do net advertising. Clients still

are not comfortable with this new medium. On-line media planning is emerging as a new

business. In the US, the leading firm is the Double-click. In India, firms are Macromedia, Media

cope and Intercept. A net can narrowcast and target ads at a sharply defined segment. Some sites

have a revenue model based on ad income. Adson the net have to buy audience rather than space

or banners. An advertiser can approach his target through a variety of sites, but with one single

media buy. Advertisers can select audiences’ location wise, say a BPL mobile ad in Mumbai and

Bharati Telecom ad in Delhi. Ads can be targeted to editorial content of the web pages, say
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cosmetic ads to the health and beauty pages. Ads can be targeted in terms of time, does in the

afternoon rather than in the morning. Research can increase the effectiveness of on- line

communication.SHH Kazmi andSatish K Batra “Advertising and SalesPromotion”p.320, edition

2. ISBN 81-7446-394-1(PB)It was certainly a sad day for

newspapers and magazines when E-Marketer released a report early in 2012stating that this year

would be the year that spending for online advertising would surpass

spending for print advertising. Print publishers, of course, knew that this day was coming. After

all, in 2011, online ad spending grew23% in the United States, just passing the $32 billion mark.

In 2012, spending on online ads will grow another23% to nearly $40billion. Meanwhile, the

more spending for online ads grows, the more spending for print ads shrinks. Spending for

magazine and newspaper.

SAMPLING

The research study has focused on urban consumers of Above 18 years of age. So that they can

recall the reasons which affect their perception of Internet advertisements. This research studied

the psychology behind online consumer’s behavior & also their perception of Internet

advertisements. It also seeks the effect of Internet ads on the attitude of online consumers. A

cluster sampling has been used. A total number of 100respondents were surveyed. 50

respondents from Coimbatore, Erode and 50 from Gobi.

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METHODOLOGY

Secondary Research: I first of all surveyed the available literature related to the problem.

The published data from various sources like Journals, Internet, Books were studied.

Quantitative research: After the collection of secondary data, the questionnaire was designed to

collect the primary data. It is analyzed on the basis of suitable table by using–Bar technique and

percentage analysis. Chi- Square test is applied to test the goodness of fit to verify the of

observed data. Test (x2)= (O-E)2/E Degree of freedom = V=(R-1)(C-1).

HYPOTHESIS

1. Analysis of Internet user’s perception of onlineadvertisements.H0–The six options

(entertainment, in formativeness, irritation, credibility, interactivity and purchase) i.e. Perception

behind the online advertisements same for all people (each of these options have same influential

value on the respondents). H1-The six options (entertainment, in formativeness, irritation,

credibility, interactivity and purchase) i.e perception behind the online advertisements is different

for all people(each of these options have influential value on the respondents).

ANALYSIS

1. Analysis of the relationship between the websites that are most searched for & Age of the

Respondents.
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You know how some people say that age is just a number? Yeah, that totally doesn’t
apply to web design. Let’s think about goals, for example.

If your website’s target audience is under the age of 10, you’re probably not trying to get
their email address for a newsletter mailing list or their credit card information to sell
them alcohol. On the flip side, you’re also probably not trying to entertain a retiree with
colourful animations or gamification.

Now, this isn’t just a difference between designing sites for “young” and “old” either.
There are vast differences between different adult age groups and how they interact with
websites, too.
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Figures title:

0
Category 1 Category 2 Category 3 Category 4

Series 1 Series 2 Series 3

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CONCLUSION

Overall in a study on impact of online advertising on consumer behavior, the outcomes which

came from the survey which is conducted over the 100 number of people. In research I found

that the internet users [all age group people] have the same perception towards the websites.

advertisements. But they all age group people (22respondents) agreed that the online advertising

is very informative, but at the same time these advertisements create irritation among all age

group people(18respondents), people (18 respondents) have done purchasing through Internet i.e.

e-commerce. According to16 respondents, the internet advertisements have interactivity. The

credibility aspect of the online advertisements is assessed by 14 respondents. Finally,

12respondents agreed that online advertisements are entertaining. Secondly, I analyze the

relationship between Age of the respondents and the websites that are most clicked

at, are independent. In a survey of 100 respondents, 33 people used internet for Access E-mail,

23 respondents used internet for window shopping, 22 respondents used internet for

downloading, and similarly 22 respondents used net surfing. Finally, I concluded that the online

advertising is informative for all age group of people and

basically it issued for accessing E-mail.

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REFERENCES

[1] Analogik.com/articles/227/analysis-of-consumer- behaviour-online

[2] Wakolbinger, Lea; Michaela, Denk Oberecker, Kluas(September 2009). "The Effectiveness of

combining Online and Print .Advertisement".AdvertisingResearch49 (3): 360– 372.

[3] Define Online Marketing". Yourdictionary.com.http://reference.yourdictionary.c om/word-

definitions/define-online-marketing.html. Retrieved 9January 2012

[4] What Is SEM / Search Engine Marketing?".SearchEngine Land. February

1,2012.http://searchengineland.com/guide/what-is- sem.

[5] google search engine .

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AUTOMOTIVE DOMING USING DIFFERENT ASSESMENT METHODOLOGIES. 3(3),

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(2015). USES OF ARTIFICIAL INTELLIGENT TECHNIQUES

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